All Forum Posts by: David Bilandzija

Hi BP,

I'm representing a borrower in FL and we are at clear to close on his cash out refinance loan (investment property). We cannot close because he wouldn't be able to cash the check for his cash out proceeds. The check cannot be made to him individually since property is held in a Trust. Borrower doesn't have a business bank account that matches the vesting on title, which is ABC LLC as trustee for ABC Trust.

His LLC and Trust both do not have EINs.

He is running into resistance from banks they are explaining that an EIN is required. 

Has anyone experienced this and or found a workaround?

@Adriana Balley

There are several lenders in this space. Finance of America Commericial being one of the stronger players. Non-qm lenders can also provide the kind of financing you are after with similar underwriting. Key thing to remember, is all DSCR program aren't created equal. Cash flow, credit profile, investing experience/current holdings, real estate market etc. are all factors in determining the best fit for your situation.

@Damion Brown I know of a nationwide direct lender with a foreign investor program. The requirement is basically having the down payment in a US bank. Don't need to close in a LLC or have any experience either.

@Chris Nappi There's a few ways to "skin the cat" in terms of qualifying for conventional financing.  Most loan officers/mortgage brokers will focus on traditional income sources that appear on your tax return.  There is another way to show ability to repay and qualify.  

Since it sounds like your goal is to maintain ownership of the SF homes you might want to consider a few different approaches based on your financial situation.  

@Serena Halterman I'm interested in meeting some like minded investors.  Let's do this!

@Sean Bramble California Fair Plan is a possible solution to your fire insurance needs.  A number of residents in the state rely on this type of insurance when they can't obtain coverage in the marketplace.  Left a link for you, good luck!

https://www.cfpnet.com/about-f...

https://www.nmlsconsumeraccess...  

Try using this link to check the loan originators NMLS status

As for sharing personal information... well that's just part of the deal but always best to know who you are working with.  

@Aaron Smith Thanks for putting this together.  I was immediately interested to see everyone's input, helps us all gauge classification more accurately.  

@Alex Roter Interesting numbers on our own backyard.  

@Mike D'Arrigo how did you finance a 10 bedroom home?  Sounds like an unusual property that would be difficult to comp out.